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For a hypothetical… (Class 12 Economics SQP 2025-26, Q11)

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EconomicsCBSE Class 12 · Sample paper, session 2025-26 · 3 marks · Short answer

CBSE Class 12 Economics sample paper 2025-26: question 11

From the official CBSE sample question paper for 2025-26, section A, question 11, for 3 marks. Try it first; the hints and our step-by-step solution are below.

Q11 · 3 marks · Short answerCompetency-basedNational Income Accounting

For a hypothetical economy, assuming there are only two firms (A and B) with equal Gross Value Added (GVA).
On the basis of the following data, estimate the value of Domestic Sales of Firm A:

S. No.ItemsAmount (in ₹ crore)
(i)Value of Output of Firm B1,000
(ii)Purchases by Firm A from Firm B300
(iii)Exports by Firm A200
(iv)Purchases by Firm B from Firm A250
(v)Additions to stock of Firm A150

Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2025-26.

Hints

Open one hint at a time and try again before the next.

Hint 1

Find Firm B's GVA first: its only input is bought from Firm A.

Hint 2

Value of output = domestic sales + exports + change in stock.

Hint 3

Purchases by A from B are A's intermediate consumption.

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Gross value added of Firm B = Value of output of B − Purchases by B from A (its intermediate consumption) = (i) − (iv)

    ½ mark

  2. = 1,000 − 250 = ₹ 750 crore

    ½ mark

  3. GVA of Firm A = GVA of Firm B = ₹ 750 crore (given equal).

    1 mark

  4. GVA of A = Domestic sales + Exports + Change in stock − Intermediate consumption, so Domestic sales of A = GVA of A − (iii) − (v) + (ii)

    ½ mark

  5. = 750 − 200 − 150 + 300 = ₹ 700 crore

    ½ mark

Answer: Domestic sales of Firm A = ₹ 700 crore.

Where the marks are

  • GVA of B (½ + ½)
  • GVA of A = GVA of B (1)
  • Formula and answer for domestic sales (½ + ½)

Revise the chapter

Practise this chapterBoard-style questions from National Income Accounting, one at a time, marked against the answer key and marking points.Back to the full paperSample paper 2025-26: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.